Mumbai: SpiceJet Ltd is set for a radical overhaul of its business strategy as it tries to grab more market share and shore up revenues, starting with wooing Business Class passengers. “The focus is on a complete makeover and bringing in more business fliers,” said an airline official. SpiceJet is looking to blur the lines with full-services airlines that offer more expensive seats.
The airline, owned by Kalanithi Maran, is not only struggling to stay up after its record loss last fiscal year, but also has to contend with more competition from rivals, including two airlines being launched by the Tata group—a low-cost airline with Malaysia’s AirAsia and the other a full-service one with Singapore Airlines.
SpiceJet is aiming to achieve its makeover by March 2014, with a six-point strategy, which includes reconfiguring its aircraft; launching a frequent flier programme; introducing a new food menu; offering better metro flight slots; and rejigging its international network, Tarun Shukla reported in Mint. It has implemented some of these.
“All segments are important, and a well-planned schedule that has a broader appeal helps in boosting (passenger) loads,” S L Narayanan, Group Chief Financial Officer, Sun Group, which controls the airline, said. “That said, we are also rebuilding our corporate traveller segment with better products and a renewed focus,” he added.
Read news in full 16/01/14 TravelBizMonitor
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